Morgan Stanley CEO Ted Pick has confirmed that the banking giant is exploring potential cryptocurrency offerings for its clients. Speaking at the World Economic Forum in Davos, Switzerland, on January 23, 2025, Pick emphasized the importance of working closely with financial regulators, including the U.S. Treasury, to ensure digital assets are integrated into the firm’s operations in a safe and compliant manner.

Morgan Stanley’s Growing Interest in Digital Assets

Morgan Stanley is no stranger to the cryptocurrency space. In 2021, the firm became the first major U.S. bank to offer Bitcoin funds to wealthy clients, followed by the introduction of Bitcoin exchange-traded funds (ETFs) in 2024. 

The move came after the firm’s financial advisors reported an increasing demand for Bitcoin exposure from their clients. However, due to regulatory restrictions, banks were unable to directly trade physical Bitcoin under the Biden administration.

Now, under the leadership of Ted Pick, Morgan Stanley is looking to expand its crypto offerings, aiming to provide clients with more access to the digital asset class.

Collaboration with Regulators to Ensure Safety

Ted Pick highlighted the importance of a collaborative approach with regulators to ensure the safe introduction of crypto offerings. 

"For us, the equation is really around whether we, as a highly regulated financial institution, can act as transactors," Pick said. 

The CEO stressed that the company is focused on finding ways to offer digital assets to clients while maintaining regulatory compliance and ensuring financial stability.

Morgan Stanley’s proactive stance comes at a time when U.S. regulators are working to establish a comprehensive legal framework for the cryptocurrency sector. The potential shift in regulatory stance, especially under the leadership of crypto-friendly U.S. officials like Senator Cynthia Lummis, signals a more favorable environment for the integration of digital assets in traditional finance.

The Role of Financial Institutions in Crypto Adoption

Pick’s statements come alongside similar remarks from other industry giants. BlackRock CEO Larry Fink recently called for the SEC to expedite the approval of tokenized bonds and stocks, signaling growing interest in crypto from traditional financial institutions. Pick echoed this sentiment, noting that the financial sector is increasingly seeing crypto as a mainstream investment vehicle.

In recent years, the banking giant has shown a progressive approach toward digital assets, despite the regulatory challenges under the Biden administration. In 2021, Morgan Stanley introduced Bitcoin funds to clients with over $2 million in assets. The firm also provided access to Bitcoin ETFs through platforms like BlackRock and Fidelity in 2024.